After six months of stagnation, apartment prices in Chisinau municipality rose by 2.3% in the first quarter of 2023.
According to the economic analysis of the expert Veaceslav Ionita, published on his website, apartment prices during six months were at 745 euro/sq. m., and in the first quarter of 2023 they rose to 766 euro/sq. m. According to the expert, it is correct to say not a price increase, but a recovery, because even after a significant increase in 2021-2022, the average price in Chisinau municipality still has not reached the level of 2008, when apartments were sold at 900 euro/sq. m. Veaceslav Ionita draws attention to the fact that the real estate market in Moldova in 2022 was affected by four main factors. The first - too sharp recovery in prices, which frightened the buyers. The second - the war in Ukraine, which is also strongly discouraged the decision to buy an apartment. The third factor was high inflation, which forced citizens to focus on current spending. And the fourth - the rise in the cost of credit, which was a factor that caused a sharp decline in mortgage transactions. In fact, all of these factors created the so-called phenomenon of pent-up demand. At the same time, the expert expects a significant increase in real estate transactions in 2023-2024, due to constant demand and pent-up demand from 2022. This is explained by the fact that the average annual wage in Moldova, calculated in euros, grew much faster than apartment prices. // 16.05.2023 - InfoMarket.
